The attached memorandum by the City’s Public Works Director to John Pick, the “City Administrator,” summarizes the saga that resulted in a standoff at this week’s meeting of the City Council. The errors reach back to the days of Barrie Tilghman – are you surprised? – but are still ongoing and reflect the sad state of Salisbury’s administration under both her and Jim Ireton.
Despite the initial projection by the Oasis owner, Neil Hitchcock, that the facility would use about 4,400 gallons of water each day. But when it came time to pay the City’s sewer and water impact (“capacity”) fee he convinced the City officials that the facility would average only 875 gallons per day (gpd) because of different equipment. Apparently nobody in the Government Office Building realized that this difference was too good to be true – after all, this is a car wash, not an Orange Julius stand – so the fee was calculated and paid based on the lower volume.
Eventually, about two years later, it dawned on the City that the actual water usage was much greater than 875 gpd – sometimes about 20 times greater – and had averaged almost 7,000 gpd over a two year period. Why it took so long to realize that the City had been badly duped has not been explained. Because the City makes water meter readings quarterly, it is inexcusable. Although Barrie was in charge of the City administration for part of that period, Ireton is also chargeable with negligence on his watch.
But the real fault is that of the City’s highly paid “professional” administrators – John Pick, Pamela Oland and (PhD to be) Lore Chambers. How hard is it to compare the meter-reading of the water volume actually used to the projected 875 gpd? Many high school students could in 5-10 minutes prepare an “excel” spreadsheet to do that. An advanced degree is not required.
The City Council and the public were not informed of the situation in the normal course – even after the City in April, 2010 demanded payment of an additional impact fee of more than $200,000 and, more than 2 months later, turned off the water. After that occurred, the owner met with City officials, and Ms. Gardner sent her memo to John Pick but not to the Council, whose members (with possible exceptions) were kept in the dark until that memo was provided to them as part of the “briefing book” for the Council’s July 12 meeting a few days earlier together with a proposed agreement that (we understand) was negotiated mostly by John Pick. If approved, it would allow Hitchcock to pay the additional fee in monthly installments of $1,500 for 5 years, when the remaining balance would become payable, with interest at 5% annual rate.
Another aspect is why this matter was not presented to the City Council for discussion at its work session last week or even earlier, but instead held for disclosure and initial discussion at the regular meeting this week, and why there was no investigation about Hitchcock or his business until long after the problem occurred.
And then there’s the performance by Louise Smith at the Council’s meeting on July 12. When Ms. Cohen requested that the Council should discuss the matter at a work session as soon as possible, Smith tried to avoid that reasonable action and berated Ms. Cohen and Ms. Campbell for not voting to immediately seal the deal with Hitchcock. Ireton, attired in a T-shirt, exercised no leadership initiative (as usual).
This sorry scenario is further evidence that the City administration is inept and incompetent at the highest level. Mr. Pick and Ms. Chambers are receiving well in excess of $100,000 per year (the cost to the taxpayers is probably closer to $200,000 including benefits). Ms. Oland is well paid, and if her salary, etc., is included the total is probably about $250,000. Things cry out for immediate and comprehensive change, but Ireton is not up to that task. He can’t even appoint a fire chief after more than a year in office.
Louise Smith and Shanie Shields are so entrenched in their dislike of the two diligent members of the City Council that they oppose them on most significant matters and trash them as often as possible. Only the absence of Gary Comegys in recent months (and on July 12) has prevented greater absurdity by the Council.
I urge everyone to tell Ireton, Smith and Shields what you think. That can be done by sending an e-mail to:
Despite the initial projection by the Oasis owner, Neil Hitchcock, that the facility would use about 4,400 gallons of water each day. But when it came time to pay the City’s sewer and water impact (“capacity”) fee he convinced the City officials that the facility would average only 875 gallons per day (gpd) because of different equipment. Apparently nobody in the Government Office Building realized that this difference was too good to be true – after all, this is a car wash, not an Orange Julius stand – so the fee was calculated and paid based on the lower volume.
Eventually, about two years later, it dawned on the City that the actual water usage was much greater than 875 gpd – sometimes about 20 times greater – and had averaged almost 7,000 gpd over a two year period. Why it took so long to realize that the City had been badly duped has not been explained. Because the City makes water meter readings quarterly, it is inexcusable. Although Barrie was in charge of the City administration for part of that period, Ireton is also chargeable with negligence on his watch.
But the real fault is that of the City’s highly paid “professional” administrators – John Pick, Pamela Oland and (PhD to be) Lore Chambers. How hard is it to compare the meter-reading of the water volume actually used to the projected 875 gpd? Many high school students could in 5-10 minutes prepare an “excel” spreadsheet to do that. An advanced degree is not required.
The City Council and the public were not informed of the situation in the normal course – even after the City in April, 2010 demanded payment of an additional impact fee of more than $200,000 and, more than 2 months later, turned off the water. After that occurred, the owner met with City officials, and Ms. Gardner sent her memo to John Pick but not to the Council, whose members (with possible exceptions) were kept in the dark until that memo was provided to them as part of the “briefing book” for the Council’s July 12 meeting a few days earlier together with a proposed agreement that (we understand) was negotiated mostly by John Pick. If approved, it would allow Hitchcock to pay the additional fee in monthly installments of $1,500 for 5 years, when the remaining balance would become payable, with interest at 5% annual rate.
Another aspect is why this matter was not presented to the City Council for discussion at its work session last week or even earlier, but instead held for disclosure and initial discussion at the regular meeting this week, and why there was no investigation about Hitchcock or his business until long after the problem occurred.
And then there’s the performance by Louise Smith at the Council’s meeting on July 12. When Ms. Cohen requested that the Council should discuss the matter at a work session as soon as possible, Smith tried to avoid that reasonable action and berated Ms. Cohen and Ms. Campbell for not voting to immediately seal the deal with Hitchcock. Ireton, attired in a T-shirt, exercised no leadership initiative (as usual).
This sorry scenario is further evidence that the City administration is inept and incompetent at the highest level. Mr. Pick and Ms. Chambers are receiving well in excess of $100,000 per year (the cost to the taxpayers is probably closer to $200,000 including benefits). Ms. Oland is well paid, and if her salary, etc., is included the total is probably about $250,000. Things cry out for immediate and comprehensive change, but Ireton is not up to that task. He can’t even appoint a fire chief after more than a year in office.
Louise Smith and Shanie Shields are so entrenched in their dislike of the two diligent members of the City Council that they oppose them on most significant matters and trash them as often as possible. Only the absence of Gary Comegys in recent months (and on July 12) has prevented greater absurdity by the Council.
I urge everyone to tell Ireton, Smith and Shields what you think. That can be done by sending an e-mail to:
65 comments:
time for car wash guy to payup!
Joe:
Home Run! You touched all the bases.
In the past 20 years Salisbury has sunk from being a leader in local government to the very back of the pack. Ireton is pitiful as the mayor. Why didn't we elect Bob Caldwell last year?
Let's clean house ASAP, starting with Pick, Chambers and Oland.
Ireton = Obama = Joke
Joe, this is why I praise sbynews so much. We can't get this kind of information and investigative work from wboc or the daily times. Mayor Ireton, I'm a taxpayer in Salisbury and I'm not going to take it any more. Get control of your council or step down.
I'm not from Salisbury but I have to tell you, this is corruption. You need to get rid of these council people and the mayor. Taxpayers from around the country are eating costs from far to many bailouts. We may not be able to control congress but we certainly can control our local government. Stop them before it really comes back and bites you in the you know where.
Another pertinent point is the effect of the huge impact fees that the City imposes on development, in this case almost $250,000 for a car wash. For a new single-family home the fees are over $8,500.
The impact fee is driving away businesses, like that microbrewery that decided to locate in Delmar rather than Salisbury, and home builders who would provide jobs and increase the tax base. When all of the other charges by the City are included – and now they want to require sprinkler systems in new homes – it is impossible to build affordable housing in Salisbury.
PS – the local landlords like it that way.
So what is your solution?
What does a water bill have to do with salaries? I know hire illegal aliens like everyone else does and give them no beneifits! CRY CRY CRY about everything! Pay the bill! You used it and made $$$$
Ireton has become a puppet for Pick and Chambers to present to the media. Put him in front of a TV camera and he prances and postures just like his hero Obama.
It's disgusting.
10:47-
What is your drug of choice?
The salaries are being paid to administrators who are incompetent clowns as this car wash episode makes very clear.
10:46- to answer your question:
Let's clean house ASAP, starting with Pick, Chambers and Oland.
joe what is going to happen IF the city doesn't remedy the problem
msl
Since we are in a democratic republic , we must bail out the car wash and take ownership of it , very similar to general motors. Then have Shanie and Smith washing wheels for people , of course they would screw that up also. Never mind , I forgot Shanie is so big she can't bend over.
I agree totally with 10:46; the city is destroying any hopes for new businesses which in turn prevents employment, tax revenue, improvements to the city's "bad" areas, sorely needed "things to do in Salisbury", etc. I can't say Mayor Ireton is to blame, as he seems to have inherited many problems, but something needs to be done!
msl, My guess is that the taxpayers could file a class action lawsuit against the City.
Joe:
hate to tell you but public officials are almost entirely exempt from liability for negligence, and how much dough do you thinks they have anyway?
Do you remember this ditty:
"Help is on the way!"
What a bad joke that seems like now.
10:46, nobody's building because the economy sucks. What was the excuse for housing not being affordable before there were the fees?
anonymous 11:13, I never said anything about suing them personally. You sue the City. Not for money. You sue to STOP this BS.
While a class action lawsuit is not a bad idea it wont rid the city of incompetent boobs like Smith, Shields, Comegys, Pick, Chambers and Oland.
Ireton is to busy making friends with those that are his sworn enemies to deal with what needs to be done. He doesn't have the nads to fire anyone so he pays them to leave. He's a one term wonder. The wonder is how the hell we fell for him for mayor. I'm thinking now that maybe Comegys was the lesser of the two evils. We should have voted for Superman.
Joe:
"You sue to STOP this BS."
Court's don't get involved in running local or other government absent fraud or other crime or some constitutional imperative (busing to integrate schools, for example).
It's called the political matters doctrine.
Joe:
Why make Wilber even richer?
Is the amount based on the 2008 fee or the 2010 fee? Just a thought. If I recall correctly it is a $2000 difference per EDU. (EDU=250 GPD)
This is why you have a fiscal crisis with firemen and policemen on furlough days. This is one screwed up city. They cant get even the simple billing right.
Rexel electric company jumped ship to Delmar to now.
So, will anyone send e-mails to Mayor and council? Or will we just come on this site and complain?
Hitchcock is a con man. Look at his history on the case search. He owes the electrician on that job over $50,000---that is from 2 years ago. The city council is dilusional if they think they will ever get this money.
He has filed bankruptcy on Pocomoke and Seaford. The one in Fruitland went to auction in January and sold for $360,000. That transferred in the property records at the end of May. He indicated he owned 6 locations, but it is now 5--and it is going to dwindle.
I am pro business, but it is hard to feel sorry for a con man. He even cost the Ocean City Chamber of Commerce $60,000 because he overstepped his bounds.
He professed to be director and president of this and that, but he did not mention his real profession--Con Man!
I have a different view of normal operations, RE: the public not being informed earlier of the $200k. In the normal course of things the City was doing the correct thing by keeping the bill silent from the public for a time. The last thing you want to do is embarrass a business that has made a "good faith error".
HOWEVER, Neil T Hitchcock is the PRESIDENT of the International Car Wash Association. To me, this casts doubt on whether or not the initial figure of 875 gallons was made in "good faith". Also, on April 3, 2008, SBYNEWS exposed Hitchcock and his many lawsuits. Someone in the City should have taken note and at least kept their eye on the ball.
Now he has run up a bill that would go a long way toward giving Public Works a 2% raise (the last time they got a raise of 2% it cost the city about $300k). There isn't much doubt in my mind that the City will either fold and give him some sweetheart insider deal to pay off his debt or they will hold firm and he will close up shop in Salisbury and never pay it. This should have been caught a long time ago. In fact, there should be a monetary cap triggered on things like this. When a company goes above $X their usage is automatically given extra scrutiny.
Anon 11:51 -
Totally agree. He was delinquent on paying for construction on this location since day one. Ask any single contractor on the job and they will tell you he dragged out payments to the point of facing lawsuits. It's a scam and he's been pulling the wool over people's eyes for quite a while.
Good faith in the business world, good luck.
Looks like Salisbury has another empty lot.
Whos job is it to monitor this? Is there one name? If so, shouldnt that person be looking for a job.
Ron: I really think that 875 gallons per day estimate was not made in good faith.
Here is the math: he said each car should be 20-40 gals; so lets call it 30 on avg. 875/ 30 equals only 29 cars per day/avg.
I am no accountant, but that ain't going to pay the debt service. I say he tried to sham the city, and he thought no one would ever catch it.
No-one did.
At least, no one caught it until we got a new PW director...
12:23 that's what I am saying. I do not believe it was made in good faith especially given the owner's position as President of the org and the fact that he has owned other places. No one with his experience would make that kind of mistake on accident.
"(PhD to be) Lore Chambers"
What is she getting her PhD in and where?
I remember when this guy came befoe the council with his water numbers. The system was supposed to be one that retained and reused the water with a filtration system. It looks like the system he talked about either wasn't installed, wasn't used or doesn't work.
Let him bail himself out of this one. A car wash, with all the car washes we already have, shouldn't be high on our list for pulling from the fire.
Its funny how people think that they open car washes for business, they are washing something alright but it aint cars.
1. Collect the money. If that means a lawsuit, so be it.
2. Stop praising Debby & Terry. They did nothing to uncover the error. All the want to do is to have another of their endless stream of meetings.
3. Somebody in the Administration screwed up. Find out who and punsih them.
I smell a kick back. Shanie got a bucket of pig knuckles. The Mare got a three week supply of Udder Cream. Udder Madness Joe.
Great Work.
We need a new nick name for Jimmy I.
I thought all those places recycled their water,but anyway its obvious the guy has a history of not paying his debts.
Anonymous said...
Ireton has become a puppet for Pick and Chambers to present to the media. Put him in front of a TV camera and he prances and postures just like his hero Obama.
It's disgusting.
10:52 AM
That is so true. Jim Ireton we voted you in office because you promised help was on the way. You promised change. You said that every department head was going to have to reapply for their jobs and that never happened. You do nothing but praise and reward those incompetent pions Pick and Chambers. They are playing you like a fool just as you played us as fools. They were supposed to be gone from the city but you screwed us over because you found it more important to be their friend than work for us the tax paying voters. Jim Ireton you need to bow your head in shame and resign as mayor. Bob Caldwell should have been elected mayor, but you fooled us with your lies. Just please go away!!
If the car wash in question is the one next to Sam's Club, there's been signs of financial problems there for months. First, one of their pay stations fell out of order only to be covered up. Shortly after, the pay station stopped giving out tokens for the free vacuums that were advertised on their signs. If you asked the attendant, they claimed to have run out of tokens (but more were on the way). Finally, the trash bags began to pile up next to their dumpster until finally, they posted a sign that they were closed until parts arrived. I guess they never will.
That's our All American city for you!!
11;43 ..... Do you REALLY think that these people will receive some e-mails and go "hey!! you are absolutely RIGHT!! I make way too much money, make stupid decisions over and over again, at the expense of the people I'm supposed to serve, have demonstrated a level of incompetence exceeded only by my personal arrogance and I guess NOW would be a good time to resign"....I believe their actions are criminal. I also believe the time is soon coming when the only way to fix it is for an armed mob (and a LARGE one, to discourage that OTHER mob of armed government agents) to physically throw those lazy, stealing, self-promoting, imbecilic, buffoonish criminals out of their office and into the street, with a warning not to be seen in this area again. Old school political action. Only with AK's and not pitchforks. They laugh at the peasantry and cackle with uncontrollable laughter every time they cash their (outlandishly large) paychecks or another citizen sends them (oh my! oh NO!!) a nasty e-mail....hahahahahaha
Can someone please explain to the public why the City of Salisbury pays overtime for an undercover police officer to sit through every city council meeting? What is Louweasel and Jim-Beau Liarton afraid of?
Why do you keep saying that Jim exercised no leadership at the city council meetings? Do you have no knowledge of who's in charge? Ireton is nothing more than a guest at city council meetings. Louise runs the meetings by virtue of the city charter. Read the charter and get back to us when you're actually educated on the matter.
I am all for helping a guy out. But this person clearly did not respond to the letters from the city. He had every opportunity to do so, and plenty of time. I guess he did not think they would actually shut the water off.
Newsflash--it is hard to run a car wash without water. He was advoiding the issue hoping it would go away. I say no help from the city. Pay up; or shut it down.
Hey Joe, where do we sign up for those 5% loans? That seems like a great deal, and I would like to take advantage of it.
At the GOB, right?
That's right Anonymous 12:41
No one caught it until we got a new public works director. She is a sharp cookie and a great leader. Many things have come to light under her leadership and there is much more coming out in the future, can't hide long from her. This is exactly what public works has needed for years. Down with the good ole boys and those who are not qualified for the positions that they are in.
There was lots more to Knorr. I suspect taht 7:38 is a developer that wants the rest of us to subsidize growth and pay for their extra infrastructure. Barie Tilghman and her administration did nothing as far as I can see to get Knorr to Salisbury, perhaps to insight dissatisfaction over the fees and use it as a poster child. Her buddies like the ones that got the developer reimbursements at our expense will benefit big time if the fees go away or are reduced and the rest of us will go back to paying forced subsidies.
7:38 that would make sense if the city was the one that actually supplied the 875 gallon figure- they didn't Oasis did. Given this, it was Oasis that low balled their usage which in turn low balled their fees.
5:48 Let me shine a different light on the new director than the one you are shining. She didn't "reveal" anything. The City charter clearly states that by law the usage will only be reevalated every 2 years. Time was up. Trust me...it surely wasn't the new director leading the way.
Lots of families are now struggling under her "leadership"...or lack of same.
A $200,000 impact fee for a hookup for water for a small car wash. No wonder we do not businesses flocking to Salisbury...my Gawd!
Enough of the corporate welfare song and dance. Didn't we do enough of that for Wall Street?
Sounds like this guy was a loser from the git go. Let him fail.
to any business owner out there, the letter from the City states the business owner has 45 days to pay the amount in full. Tell me what local business has the operating funds that could withstand a 200k hit with out severe distress on the business and it's employees? If the bill is owed, then fine but give the business the opportunity to pay the dept - Oasis is not the only business that has been affected by this process. The new PW may feel like they've tapped into a windfall of past due revenue- but it's shortsighted. The collection methods are heavy handed and will cause local people to lose jobs. There needs to be a approach. Yell "through out the scum" all you want, but for a minute put your own financial situation to the test: what if you got that letter; it's from your mortgage lender, your car financier, your boss and it says pay us now or we take it away - how do you respond? Pick's attempts to balance the situation with a payment plan was the professional way to go. There has to be at least one local person who is now praying he can collect unemployment because the City, council and PW couldn't get past the $$$$ they were drooling over.
Families are struggling everywhere and not just because of what the new PW director did or didn't do.
I noticed an article from March 3, 2008 on SBY NEWS that tells it all. This man is a con man from the get go and the city allowed this to happen - shame on them!
Several years ago he apparently took over a travel agency and made promises that he could not keep. The city will never see the money he owes - may as well kiss that goodbye. From what I gather, he thrives on conning people out of money,. I guess now because I live in the city, I will be one of the many that have to pay for this dude's con work!
1:18 a.m., Pick didn't extend this "professional" thing to others who dealt more honestly with the city than this character.
If the guy hadn't misrepresented his gallons in the first place, he wouldn't have got this so-called surprise. He has a big history of pulling this.
No sympathy. Why should other hard working businesses carry this guy?
Ppl around here dont care about anything. This is just another one of the local "laid-back" ways. Council members, Salisbury residents, and most locals are too caught up in their own agenda or whatever gossip is happening to do their jobs to any kind of quality standard. Its just as screwed up down at 2011 N Salisbury Blvd. Welcome to Salisbury, the land of the lazy and home of the inept.
Citygoer, you are almost right. There are people who care and work hard. But they do seem in the minority nowadays.
Years ago, I took a computer class from Terry Cohen at Wor-Wic. BEST class I ever took, hands down. Amazing how well she could help people at all levels and very efficient.
Later, I asked for her help to get me through a state government maze. She was so helpful and kind. Then I ran into brick wall after she got on city council. Same thing, only she sent me a list of resources that time too!
I think a big part of Salisbury's problem is every time you get a good person like that, the dumb and vicious ones do everything they can to tear them down.
Maybe that's everywhere nowadays, I don't know. It's a shame.
FUTM
1:42 Ive lived elsewhere and the "I dont care" attitude is a shore thing. The good ol boy ways of hiring/promoting friends doesnt help the cause either. I watch lazy, inept ppl receive favoritism daily, meanwhile the hardworking get screwed. Thats just a shore fact, its always been that way here.
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